NEW YORK (CNN/Money) - It's starting to look like Christmas on Wall Street.

The market was flying high today on analyst upgrades and positive economic news. Traders must have been happy too, thanks to news yesterday that this year's Wall Street bonuses are up 25 percent from last year.

The Labor Department also chimed in with some cheery stats: The average number of people still collecting unemployment insurance over the last four weeks fell 34,000 to 3.33 million, the lowest number since September 2001. And in the latest week, the number of people filing initial claims fell 22,000 to 353,000.

Manufacturing looks healthy too: The Philadelphia Federal Reserve Bank's monthly manufacturing gauge for the mid-Atlantic didn't decline like economists expected, but instead grew to 32.1 in December from 25.9 last month. Economic growth and shrinking unemployment should send many off to a happier holiday season than we've had the past few years.

The Dow flew up 102.82 points to 10,248.08 (love being above 10K!), the Nasdaq climbed 34.85 to 1,956.18, and the S&P 500 added 12.69 points to 1,089.18. Read Loose Change for "securities blankets" and a chocolate fix!

STOCKYARD Tech got a boost from 3Com's unexpectedly high fiscal second-quarter revenue reported yesterday. COMS went up 23 cents to $7.93. Elsewhere, Cisco inched up 48 cents to $23.97 while Juniper jumped 99 cents to $18.02.

Over in the banking sector, Goldman Sachs was the center of attention, reporting $1.89 net income per share, beating earnings of 98 cents in the year-ago period. Though this far exceeded analyst expectations of $1.54 in earnings, the Street was disappointed. GS stock slid $1 to $97.35.

Goldman also generated another kind of buzz today -- President and COO John Thain was plucked to head the New York Stock Exchange. For more, read this from Andy Serwer: Who's John Thain?

UBS boosted its rating on Wal-Mart to "buy" on the expectation of internal changes which should lead to higher margins. WMT added 70 cents to $52.60. UBS also upgraded American Express and Capital One, boosting both: AXP added $1.77 to $46.77, while COF grew $2.75 to $59.29.

J.P. Morgan gave Honeywell an upgrade: HON stock climbed $1.31 to $31.57.

THE BUZZ Reuters reported that a source revealed Time Warner (CNN/Money and FORTUNE's parent) and Hollywood studio MGM, had preliminary talks about a possible merger. No word from either company, but if this rumor is true, it could be huge!

Many on Wall Street were skeptical because Time Warner has been cutting debt, not making acquisitions. That didn't hurt either stock. MGM popped up 80 cents to $17.05, while TWX added 33 cents to $17.87.

Chocolate bar: After copious research munching on chocolate, I think I've finally caught on to the hottest trend in candy.

Forget sours or fireballs; that stuff is for kids. And Godiva or Lindt? It's good, but not so unique. If you're serious about your sugar highs, check out gourmet designer chocolate, with notes of orange and delicate mint to mingle with the 72 percent dark.

Two newcomers on the scene are Jacques Torres Chocolates, in Brooklyn, which has very intense flavors, particularly the fruity ones. And my favorite, Chocolate Bar, based in my very own West Village, has a whole raft of chocolates plus some sinful hot chocolate to be sipped from a chocolate cup

Wall Street baby? Worried about saving for your baby's college education already? Looking for a holiday baby gift? This new line of baby products is actually quite clever, made for the neurotic Wall Street parent, concerned about planning for their baby's future. There are T-shirts and bibs emblazoned with "Active Asset," "Share Apparent," and "Eat, Sleep, Save, Grow."

My favorite is the "Securities Blanket," which has a pocket for some cash...